Choosing a new phone isn’t as simple or easy as deciding on your favorite brands or the features you need most.
These days, cellphones have become more popular than ever before and according to research, 96% of the population in America do own a smartphone.
Nevertheless, while technology and accessibility keep amending, cost too hasn’t taken a stop but has also risen too.
According to research too, the amount of money an average person spends on their cellphone in 2018 is $1200 and this has been on consistent cost increase. In choosing a phone plan, you should also do a check on having the right network provider for your needs.
If you were probably given a choice between the Prepaid and the Contact plan, which would be your choice? Let’s dive right in as we help you answer some questions that you probably don’t have an answer to yet.
What is a Prepaid Phone Plan?
When you sign up for the Prepaid phone plan through a major carrier, you have to pay in advance for your monthly data phone usage, that is, determining how many minutes, text, and even gigabytes (GB) of data you think you’ll use.
If you eventually run out of text, talk, or data time, you’ll have to wait for the next billing circle. Though, there are some prepaid carriers you can top up your text, talk data time once it’s been used totally; otherwise, you can easily alternate plans to fit your needs.
You also do have the freedom to stop or pause the prepaid plan at any point in time because you paid for it.
If you bought your phone with a prepaid carrier, you may be demanded to stay with that carrier for a period of time because most carriers do lock the phones with their network, meaning that you can’t use your phone with another carrier. If you bring your own phone to the prepaid carrier, then this policy won’t affect you.
What is a Contract (postpaid) Phone Plan?
When signing up for a contract phone plan, you are expected to pay for your service, showing your data usage. Contract phone plans are more of fixed arrangements.
Plans are mostly two years long and you can choose from a variety of monthly plans that includes different amounts of talk, text, and data.
If you always need to be able to make calls or stay connected online, then that’s a big reason for you to consider the contract phone plan.
What Positive Attributes Can The Prepaid Plan Have?
Opting for a prepaid plan can save you a lot of money. There are many advantages attributed to prepaid plans, including;
- You have total control over your plan at any time, that is, you can stop or even pause your plan at any time.
- Parents do have better parental control with the prepaid plan as you can buy a budget phone for your child and then limit the minutes, text and data they can use.
- Some prepaid carriers do offer multi-line plans for members of the same family, which could help save some money at the long run.
- Many prepaid carriers do offer the customization of your own plan.
- Since you’ve paid for the service in advance, you can’t go over your talk, text and data allowance. If you eventually run out of your allowance, you can request for additional minutes, messages or data.
What positive value does the postpaid or contract plan have?
Postpaid carriers are one of the best plans for those persons who consume so much amount of data each month.
- Though no data plan is truly unlimited but these plans do include a nice amount of premium data.
- The entertainment plans do include free entertainment features such as Hulu, Netflix, HBO and Amazon Prime.
- You can save money on expenses on otherwise expensive plans by adding multiple lines.
- The lines are not limited to a particular country or city. Contract phone plans do have travel benefits, such as Mexico and Canada roaming, global text and even international data with their unlimited plans.
- Once you’ve been done with your premium data, your data speeds are temporarily slowed until the next billing cycle.
Who are the Prepaid plans for?
Though a prepaid plan is a brilliant and splendid choice for any cell phone customer, there are specific targets audiences who may really benefit the most from the prepaid service. Reasons why some persons may choose a prepaid plan include;
- If they want an affordable phone plan.
- If they prefer plans with no credit check
- Primary need their phone just for talk and text.
- If they want be able to customize their own plans.
- They want to be able to control their child’s phone usage.
- If they want a variety of phone plan options.
Who are the Contract plans for?
Some unlimited postpaid plans being the all the recent years, many people are so quick to opt-in for an unlimited plan without you considering whether they need it or not. Some of the reasons for postpaid do include;
- They are willing to pay more for the plans with all the bells and whistles.
- They want network priority and fast data speeds.
- They can be used during a travel as far as you put am for lightening.
- There are sold for a high credit rating
There are many other reasons why someone may choose a prepaid or postpaid plan, and at the end of the day, the choice is up to you.